Costa Rica and Public Works Concessions

The failure in this country of a model which is successful in others, can be reversed with more efficiency in tender processes and improving the promotion of the projects.

Monday, December 2, 2013

The inability to properly promote and explain the format explains in part its failure in country.

While in other countries these kinds of concessions have proven to be one of the best formats for the development of public works, the mere mention of the word generates negative reactions in Costa Rica from a major part of the population.

Greater participation of competitors in tenders and better promotion of the format is what the Spanish specialist José Manuel Vassallo recommends, telling that "in his opinion, the county's main problem is a lack of having "sold" this concept."

"I think Costa Rica has a major problem which is that the term concession is not socially accepted. One reason is that the public sector has failed to "sell" it adequately to society, and the other is that they have had unsuccessful experiences.

More on this topic

Satisfaction with the Puerto La Union Concession Model

June 2011

The private sector has pointed out the constitutionality of the decree and considers that it is conveying the right message to foreign investment.

Representatives of the Foundation for Economic and Social Development (Fusades) and the National Association of Private Enterprise (ANEP), noted that the decree for the concession is focused on and consistent with the goals of economic development.

El Salvador: National Concession System

March 2011

The union of private companies submitted a proposal for the creation of a national concessions system.

The National Association of Private Enterprises (ANEP) stated that through a working concession mechanism, the country can attract foreign investment for road infrastructure projects, telecommunications, energy, logistics, etc.

100% Concession for La Union Port

November 2010

It was determined that the best option for the port terminal is to have 100% private administration.

This was revealed by the report issued by the International Finance Corporation (IFC), according to the Executive Port Commission (CEPA) in El Salvador.

"The option is called master concession, which means that a company will manage the terminal, but it still belongs to the state," Enrique Córdova, president of Cepa, told newspaper El Mundo. "The master concession for infrastructure is granted to an international operating entity responsible for managing it entirely, for the period of time stated in the contract."

El Salvador's Sea Cargo Market

December 2009

Salvadoran ports will handle 150.000 containers in 2010, and 210.000 in 2015.

These figures come from a study conducted by Japanese experts on the country's port potential. The first part of this study has already been delivered to the CEPA, the Salvadoran ports authority.

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